Indonesia’s central bank, the Financial Services Authority (OJK), has partnered with the country’s fintech associations to issue what it describes as ethical guidelines on artificial intelligence (AI) use in the context of the fintech industry.
The guidelines were formulated in collaboration with four leading fintech associations in Indonesia – the Indonesian Fintech Association (AFTECH), the Indonesian Sharia Fintech Association (AFSI), the Indonesian Fintech Lending Association (AFPI), and the Indonesian Crowdfunding Services Association (ALUDI).
According to the announcement, the initiative marks a significant step towards responsible and trustable AI implementation in the sector.
“The launch of this [ethics code] guideline proves OJK’s commitment to continue cooperating and collaborating with industry actors and associations to ensure [AI] implementation is responsible and can be trusted,” said Hasan Fawzi, the Chief Executive of Technology Innovation, Digital Assets, and Crypto Assets Supervision of OJK.
Highlighting the importance of these guidelines, Hasan said that their primary goal is to mitigate risks associated with AI in the fintech industry, thereby fostering the sector’s development while safeguarding against potential future risks.
Adding to the significance of this development, Mahendra Siregar, the Chairman of the Boards of Commissioners of OJK, spoke on the crucial role of technology in national development.
He underscored that technological advancements, while pivotal for economic, social, and environmental growth, come with inherent responsibilities, including the protection of data and consumers.
“Every technological advancement comes with responsibilities, one of which is data and consumer protection,” he concluded.
This initiative by OJK and the Fintech associations sets a new standard in the fintech industry, balancing technological advancement with ethical considerations, consumer protection, and risk management, according to the announcement.